Shanghai, China – October 14, 2010 – SI Group has announced plans to invest approximately 30 million dollars to build a second facility in China. The company identified a need to grow their China operations after evaluating customer needs in the Asia market. The new plant is expected to have the initial capacity for 30,000 m.t. per year. This step is one in a series towards SI Group’s goal of reinforcing their leading position within its market segments in the Asia Region. Outside of constructing a new facility, the location of which is being finalized, SI Group is also investing 5 million dollars to expand their Shanghai plant to increase its current capacity by 10,000 m.t. per year. This is the third phase of the Shanghai project. The second phase of the project was completed in December of 2008 to meet increasing market demands. Another testament of SI Group’s commitment to the Asia market is their investment in an application testing lab for phenolic resins in China. Training has commenced for employees that have been initially hired to work in the lab. The lab is scheduled to begin operation in March 2011. Launching this new capability along with new plant capacity and enhancements will enable SI Group to respond to the needs of their customers in the region more quickly and seamlessly.

About SI Group

SI Group is a family-owned company founded in 1906 and headquartered in Schenectady, New York. A leading global developer and manufacturer of phenolic resins, alkylphenolic resins, alkylated phenols and other chemical intermediates, SI Group operates 20 facilities in 12 countries around the world. For more information about SI Group, visit www.siigroup.com.